Dai Stablecoin (DAI)

Dai (DAI) is a stablecoin pegged to the value of one US Dollar, built on Ethereum and developed by the MakerDao team. DAI can be created through the depositing of Ether into a smart-contract and therefore is always fully collateralized. The requirements for a stablecoin allowing low-risk arbitrage between different cryptocurrency exchanges and price hedging by traders is mainly being met currently by USDTether - a centrally issued alternative collateralised by US Dollars held in a bank account. DAI instead removes this centralised risk point and is slowly becoming popular in the Ethereum community with decentralised exchanges as a primary trading pair.